group accounts q2/2012 and yoy 2011 w&w group – strong q2-figures dr. jan martin wicke, cfo 10...

Group accounts Q2/2012 and YoY 2011

W&W Group – Strong Q2-figuresDr. Jan Martin Wicke, CFO10 August 2012

Disclaimer

This presentation and the information contained herein, as well as any additional documents and explanations (together the “material“), are issued by Wüstenrot & Württembergische AG (“W&W”).

This presentation contains certain forward-looking statements and forecasts reflecting W&W management’s current views with respect to certain future events. These forward-looking statements include, but are not limited to, all statements other than statements of historical facts, including, without limitation, those regarding W&W’s future financial position and results of operations, strategy, plans, objectives, goals and targets and future developments in the markets where W&W participates or is seeking to participate. The W&W Group’s ability to achieve its projected results is dependent on many factors which are outside management’s control. Actual results may differ materially from (and be more negative than) those projected or implied in the forward-looking statements. Such forward-looking information involves risks and uncertainties that could significantly affect expected results and is based on certain key assumptions. The following important factors could cause the Group’s actual results to differ materially from those projected or implied in any forward-looking statements:

– the impact of regulatory decisions and changes in the regulatory environment;– the impact of political and economic developments in Germany and other countries in which the Group operates;– the impact of fluctuations in currency exchange and interest rates; and– the Group’s ability to achieve the expected return on the investments and capital expenditures it has made in Germany and in foreign countries.

The foregoing factors should not be construed as exhaustive. Due to such uncertainties and risks, readers are cautioned not to place undue reliance on such forward-looking statements as a prediction of actual results. All forward-looking statements included herein are based on information available to W&W as of the date hereof. W&W undertakes no obligation to update publicly or revise any forward-looking statement, whether as a result of new information, future events or otherwise, except as may be required by applicable law. All subsequent written and oral forward-looking statements attributable to W&W or persons acting on our behalf are expressly qualified in their entirety by these cautionary statements. The material is provided to you for informational purposes only, and W&W is not soliciting any action based upon it. The material is not intended as, shall not be construed as and does not constitute, an offer or solicitation for the purchase or sale of any security or other financial instrument or financial service of W&W or of any other entity. Any offer of securities, other financial instruments or financial services would be made pursuant to offering materials to which prospective investors would be referred. Any information contained in the material does not purport to be complete and is subject to the same qualifications and assumptions, and should be considered by investors only in light of the same warnings, lack of assurances and representations and other precautionary matters, as disclosed in the definitive offering materials. The information herein supersedes any prior versions hereof and will be deemed to be superseded by any subsequent versions, including any offering materials. W&W is not obliged to update or periodically review the material. All information in the material is expressed as at the date indicated in the material and is subject to changes at any time without the necessity of prior notice or other publication of such changes to be given. The material is intended for the information of W&W´s institutional clients only. The information contained in the material should not be relied on by any person.

In the United Kingdom this communication is being issued only to, and is directed only at, intermediate customers and market counterparties for the purposes of the Financial Services Authority’s Rules ("relevant persons"). This communication must not be acted on or relied on by persons who are not relevant persons. To the extent that this communication can be interpreted as relating to any investment or investment activity then such investment or activity is available only to relevant persons and will be engaged in only with relevant persons.

page 2

Agenda

1. W&W at a glance

2. Financials

Q2/2012 resultsYearly comparison 2012/2011

3. W&W profile

Vision

The world is changing, at an ever-increasing pace. Given the complexity of today's world, many customers are looking for a reliable, long-term partner to satisfy their needs in terms of financial services. We want to be their partner of choice.

Our position in the market is unique: With the two well established strong brands "Wüstenrot" and "Württembergische", the W&W Group is a specialized one-stop shop for financial planning of retail clients and small/medium commercial customers in Germany and the Czech Republic.

W&W at a glance

page 4

Personal services delivered locally by our mobile sales force of about 6,000 tied agents ensure a customer relationship which is characterized by trust, understanding, and reliability.

We offer solutions for each customer's individual needs, throughoutall stages in life, in the areas of

retail banking with focus on banking products and mortgage lending (B), life and health insurance (L/H) property and casualty insurance (P/C).

We deliver clear and systematically defined quality standards. Continuous quality management forms an integral part of our corporate culture.

Six million customers rely on our expertise and financial strength.

Wüstenrot Bausparkasse AG (BSW)

Wüstenrot Bank AG Pfandbriefbank (WBP)

Wüstenrot Bausparkasse AG (BSW)

Wüstenrot Bank AG Pfandbriefbank (WBP)

W&W GroupW&W Group

W&W at a glance

Structure

Württembergische Lebens-versicherung AG

ARA Pensions-kasse AG

Karlsruher Lebens-versicherung AG

Württembergische Kranken-versicherung AG


ARA Pensions-kasse AG

Karlsruher Lebens-versicherung AG

Württembergische Kranken-versicherung AG

Württembergische Versicherung AG


Service entities

Czech W&W companies

Service entities

Czech W&W companies

Property andCasualty Insurance (P/C)

Property andCasualty Insurance (P/C) OthersOthers

page 5

Banking Products andMortgage lending (B)

Banking Products andMortgage lending (B)

Life and HealthInsurance (L/H)Life and HealthInsurance (L/H)

W&W Group is based on several strong pillars

We stay on track with our efficiency programme “W&W 2012“ and focus on profitable growth In a challenging economic environment W&W benefits from its solid business model The new efficiency programme "W&W 2015" is to strengthen our competitive position

We stay on track with our efficiency programme “W&W 2012“ and focus on profitable growth In a challenging economic environment W&W benefits from its solid business model The new efficiency programme "W&W 2015" is to strengthen our competitive position

W&W strategyW&W strategy

W&W at a glance

Q2/2012 Highlights

page 6

Business environmentBusiness environment

New businessNew business

Risk assessmentRisk assessment

GuidanceGuidance

Extremely low domestic interest rates are a challenge for providers of financial services Higher capital requirements Increased consumer protection

Extremely low domestic interest rates are a challenge for providers of financial services Higher capital requirements Increased consumer protection

Growth in new home loan savings business above market level L/H shows clear increase in new business New business in P/C above market, driven by motor insurance

Growth in new home loan savings business above market level L/H shows clear increase in new business New business in P/C above market, driven by motor insurance

Risk-bearing ability is stable Unsolved debt crisis poses a threat for the entire financial sector in extreme scenarios Sustainable solution of debt crisis is required for short and medium-term success of the W&W

Group

Risk-bearing ability is stable Unsolved debt crisis poses a threat for the entire financial sector in extreme scenarios Sustainable solution of debt crisis is required for short and medium-term success of the W&W

Group

2012 profit target € 250 m is to be achieved Costs of additional risk measures will to be compensated if business development continues to

outperform plan Ongoing period of low interest rates could affect results negatively from 2013 onwards Rising interest rates could influence results positively

2012 profit target € 250 m is to be achieved Costs of additional risk measures will to be compensated if business development continues to

outperform plan Ongoing period of low interest rates could affect results negatively from 2013 onwards Rising interest rates could influence results positively

EarningsEarnings W&W exceeds its profit targets: Q2-profit is € 131 m against a year to day target of € 125 m W&W exceeds its profit targets: Q2-profit is € 131 m against a year to day target of € 125 m

1828 Württembergische founded 1921 Wüstenrot established 1999 Merger of Wüstenrot and

Württembergische into W&W AG 8.497 Fulltime employees 6 m Customers Multi-channel distribution by own sales force of 6,000

tied agents; 5,000 brokers; online-banking; sales cooperations

1828 Württembergische founded 1921 Wüstenrot established 1999 Merger of Wüstenrot and

Württembergische into W&W AG 8.497 Fulltime employees 6 m Customers Multi-channel distribution by own sales force of 6,000

tied agents; 5,000 brokers; online-banking; sales cooperations

Sound backgroundSound background

Number of savings contracts (B) 3.8 m Mortgage loans (Group) 773,616 Life insurance contracts 2.7 m P/C insurance contracts 8.0 m Health insurance customers 470,142 Current accounts (B) 283,000 Call deposit accounts (B) 302,000

Number of savings contracts (B) 3.8 m Mortgage loans (Group) 773,616 Life insurance contracts 2.7 m P/C insurance contracts 8.0 m Health insurance customers 470,142 Current accounts (B) 283,000 Call deposit accounts (B) 302,000

Customer base FY 2011Customer base FY 2011

No 2 in home loan savings No 9 in property/casualty insurance No 12 in life insurance

No 2 in home loan savings No 9 in property/casualty insurance No 12 in life insurance

Domestic market positionDomestic market position

W&W at a glance

Master data

Gross premiums (L/H) € 2.4 bn Gross premiums (P/C) € 1.4 bn Building society deposits (B) € 17.6 bn Volume of building savings

contracts (B) € 104.3 bn Mortgage disbursements (B) € 4.4 bn Assets under management (Group) € 27.9 bn

Gross premiums (L/H) € 2.4 bn Gross premiums (P/C) € 1.4 bn Building society deposits (B) € 17.6 bn Volume of building savings

contracts (B) € 104.3 bn Mortgage disbursements (B) € 4.4 bn Assets under management (Group) € 27.9 bn

Business volume FY 2011Business volume FY 2011

page 7

As of: 31 December 2011

New home loan savings, gross (B) € 15.3 bn New home loan savings, net (B) € 11.8 bn Total new mortgages (Group) € 5.9 bn New premiums (P/C) € 206.7 m Annual Premium Equivalent (L/H) € 240.0 m

New home loan savings, gross (B) € 15.3 bn New home loan savings, net (B) € 11.8 bn Total new mortgages (Group) € 5.9 bn New premiums (P/C) € 206.7 m Annual Premium Equivalent (L/H) € 240.0 m

New businessNew business

Financial result € 1.4 bn Premiums earned € 3.8 bn Insurance benefits incl. paid claims € 3.5 bn Net profit € 191.6 m Earnings per share € 1.94

Financial result € 1.4 bn Premiums earned € 3.8 bn Insurance benefits incl. paid claims € 3.5 bn Net profit € 191.6 m Earnings per share € 1.94

Income statementIncome statement

Total assets € 75.4 bn Investments € 43.5 bn Retail mortgages € 27.4 bn Insurance liabilities € 29.7 bn Customer savings € 27.0

bn Equity € 3.0

bn

Total assets € 75.4 bn Investments € 43.5 bn Retail mortgages € 27.4 bn Insurance liabilities € 29.7 bn Customer savings € 27.0

bn Equity € 3.0

bn

Balance sheetBalance sheet

W&W has set the following profit target:

In 2012 net profit will rise to € 250 m

W&W has set the following profit target:

In 2012 net profit will rise to € 250 m

Profit targetProfit target

W&W at a glance

Key figures 2011

page 8

Solvency ratios Solvency ratios Risk profileRisk profile

Ratings*Ratings*

Wüstenrot Holding 66.10 % LBBW 8.78 % UniCredito 7.54 % L-Bank 4.99 % Schweizerische Rück 4.67 % Free float 7.92 %

Wüstenrot Holding 66.10 % LBBW 8.78 % UniCredito 7.54 % L-Bank 4.99 % Schweizerische Rück 4.67 % Free float 7.92 %

Shareholders of W&W AGShareholders of W&W AG

W&W at a glance

Key figures 2011

page 9

Distribution of required capital as of 31 December:

As of: 31 December 2011

5% 2%

12%

32%

49%

Operational risk

Collective risk

Insurance risk

Market risk

Credit risk

* Ratings as of 26 July 2012. For more details concerning W&W ratings see page 34.

BBB+ outlook positiveBBB+ outlook stableWürttembergische Lebensversicherung

BBB+ outlook positive —Württembergische Krankenversicherung

BBB+ outlook negativeBBB+ outlook stableWüstenrot Bank AG Pfandbriefbank

BBB+ outlook negativeBBB+ outlook stableWüstenrot Bausparkasse

AAACovered Bonds/Pfandbriefe Wüstenrot Bank

FitchS&PIssuer Credit / Default Ratings

—

337 %192 %Risk-bearing capacity via internal model(VaR 99,5), (solvency/economic capital ratio)

9.5 %10.1 %Total capital ratio (WBP)

11.0 % 9.9 %Total capital ratio (BSW)

246 %236 %Insurance Group

133 %129 %W&W financial conglomerate

20102011

Agenda

1. W&W at a glance

2. Financials

Q2/2012 results

Yearly comparison 2012/2011

3. W&W profile

Business segments Q2/2012Financials

page 11

Banking products and Mortgage lending

Life and Health Insurance Property / Casualty Insurance Other Segments Consolidation / Reconciliation Group

€000's1.1.2012 to

30.6.20121.1.2011 to

30.6.20111.1.2012 to

30.6.20121.1.2011 to

30.6.20111.1.2012 to

30.6.20121.1.2011 to

30.6.20111.1.2012 to

30.6.20121.1.2011 to

30.6.20111.1.2012 to

30.6.20121.1.2011 to

30.6.20111.1.2012 to

30.6.20121.1.2011 to

30.6.2011

7. Net financial result 252 001 206 311 1 648 409 521 268 31 031 32 739 1 130 166 92 779 1 - 104 357 - 76 194 1 957 250 776 903 1

9. Net fee and commission result - 4 391 - 12 441 - 69 781 - 69 770 - 88 621 - 83 237 - 22 226 - 19 384 3 108 4 333 - 181 911 - 180 499

10. Net premiums earned 0 0 1 238 302 1 159 439 591 053 554 204 124 280 115 095 - 13 805 - 13 492 1 939 830 1 815 246

11. Insurance benefits to customers 0 0 1 630 597 1 438 595 1 328 445 282 988 85 528 70 952 - 12 462 - 12 669 2 032 108 1 779 866

12. General administrative expenses 197 135 214 877 1 130 217 138 027 1 161 085 167 006 1 47 927 37 406 1 6 772 5 648 1 543 136 562 964 1

13. Others 7 150 14 472 - 34 203 - 21 723 5 171 18 227 1 13 240 2 608 7 508 5 298 1 - 1 134 18 882 1

14. Earnings before taxes 57 625 - 6 535 1 38 319 21 785 1 50 387 73 108 1 112 088 83 303 1 - 100 653 - 73 084 1 157 766 98 577 1

15. Taxes 16 402 - 6 876 1 11 647 6 029 1 15 222 9 116 1 - 638 15 243 1 - 15 841 - 17 037 1 26 792 6 475 1

16. Net profit after taxes 41 223 341 1 26 672 15 756 1 35 165 63 992 1 112 726 68 060 1 - 84 812 - 56 047 1 130 974 92 102 1

1 Adjustment of previous year account according to IAS 8.

Balance Sheet

Assets (IFRS) Liabilities (IFRS)

€000's 30 June 2012 31 Dec 2011 31 June 2012 31 Dec 2011

A. Cash reserve 247 426 165 886 A. Financial liabilities at fair value through profit or loss 1 041 563 862 526

B. Non-current assets held for sale and disposal 109 412 2 929 B. Liabilities 37 673 755 37 879 966 1

C. Financial assets at fair value through profit or loss 2 506 625 2 367 610 C. Negative market value of hedges 635 353 574 655

D. Available for sale financial assets 19 913 566 18 733 691 D. Insurance provisions 30 466 239 29 670 522

E. Receivables 49 194 763 49 422 493 E. Other provisions 2 322 763 2 110 246

F. Allowances for credit losses - 220 807 - 213 141 F. Other liabilities 915 485 853 948

G. Positive market value of hedges 369 161 278 707 G. Subordinated capital 468 329 436 966

H. Investment accounted for using the equity method 212 460 212 772 H. Equity 3 138 612 2 962 747 1

I. Investment property 1 363 480 1 399 664

J. Reinsurers' share in technical provisions 1 348 397 1 353 007

K. Other assets 1 617 616 1 627 958 1

TOTAL ASSETS 76 662 099 75 351 576 1 TOTAL EQUITY AND LIABILITIES 76 662 099 75 351 576 1

1 Adjustment of previous year account according to IAS 8.

PIIGS-Exposure of the W&W Group

page 13

Exposure as of 30 June 2012

Nominal value Book value/Fair value Other comprehensive income

€ mn 30 June 2012 31 Dec 2011 30 June 2012 31 Dec 2011 30 June 2012 31 Dec 2011

Portugal 33,0 58,8 23,9 31,4 -12,1 -26,4

Italy 335,5 484,8 320,6 408,4 -108,6 -128,1

Ireland 10,0 37,0 9,0 31,4 -1,1 -5,4

Greece 0,0 208,9 0,0 50,1 0,0 0,0

Spain 0,0 142,0 0,0 120,5 0,0 -17,9

Total 378,5 931,5 353,5 641,8 -121,8 -177,8

Duration Nominal < 6 months 6-12 months 1-3 months 3-5 months > 5 months Total

in mn € 30 J une 2012 31 Dec 2011 30 J une 2012 31 Dec 2011 30 J une 2012 31 Dec 2011 30 J une 2012 31 Dec 2011 30 J une 2012 31 Dec 2011 30 J une 2012 31 Dec 2011

Portugal 0,0 0,0 0,0 0,0 0,0 0,0 5,0 5,0 28,0 54,0 33,0 59,0

Italy 0,0 0,0 0,0 0,0 0,0 0,0 0,0 0,0 335,5 482,0 335,5 482,0

Ireland 0,0 0,0 0,0 0,0 0,0 15,0 0,0 0,0 10,0 22,0 10,0 37,0

Greece 0,0 0,0 0,0 0,0 0,0 28,0 0,0 30,0 0,0 136,0 0,0 194,0

Spain 0,0 0,0 0,0 0,0 0,0 0,0 0,0 5,0 0,0 137,0 0,0 142,0

Total 0,0 0,0 0,0 0,0 0,0 43,0 5,0 40,0 373,5 831,0 378,5 914,0

Building societyBuilding society Life/HealthLife/Health

Financials

Main figures of the segments Q2/2012

page 14

P/CP/CBankingBanking

∆ Q2 2011 Q2 2012

+ 2.4 %€ 5.68 bn€ 5.82 bnNew home loan savings, net

+ 5.8 % € 7.51 bn€ 7.95 bnNew home loan savings, gross

∆ Q2 2011 Q2 2012

- 12.6 %€ 3.12 bn€ 2.73 bnTotal new mortgages (W&W group)

- 4.6 % € 1.99 bn€ 1.90 bnNew mortgages

∆Q2 2011Q2 2012

New premiums

Gross premiums

∆ Q2 2011Q2 2012

+ 5.4 %Gross premiums € 1 224.9 m

Total new premiums

Single premiums

Regular premiums

€ 386.2 m

€ 312.1 m

€ 66.0 m

€ 330.9 m

€ 254.0 m

€ 67.7 m

+ 16.7 %

+ 22.9 %

- 2.5 %

€ 1 162.4 m

€ 152.1 m

€ 937.6 m

€ 120.0 m + 26.8 %

€ 871.8 m + 7.5 %

Agenda

1. W&W at a glance

2. Financials

Q2/2012 results

Yearly comparison 2011/2010

3. W&W profile

Business segments yearly comparison 2011/2010Financials

page 16

Segment Income Statement

Banking products and Mortgage lending

Life and Health InsuranceProperty / Casualty

InsuranceOther Segments

Consolidation / Reconciliation

Group

€000's1.1.2011 to 31.12.2011

1.1.2010 to 31.12.2010

1.1.2011 to 31.12.2011

1.1.2010 to 31.12.2010

1.1.2011 to 31.12.2011

1.1.2010 to 31.12.2010

1.1.2011 to 31.12.2011

1.1.2010 to 31.12.2010

1.1.2011 to 31.12.2011

1.1.2010 to 31.12.2010

1.1.2011 to 31.12.2011

1.1.2010 to 31.12.2010

7. Net financial result 435 711 407 680 837 036 1 180 689 83 233 63 918 152 094 159 692 - 116 240 - 140 375 1 391 834 1 671 604

9. Net fee and commission result - 23 835 - 22 156 - 158 226 - 139 320 - 177 446 - 174 314 - 43 079 - 20 384 2 064 1 461 - 400 522 - 354 713

10. Net premiums earned 0 0 2 407 829 2 531 585 1 124 650 1 082 445 235 325 217 962 - 17 291 - 50 034 3 750 513 3 781 958

11. Insurance benefits to customers 0 0 2 760 934 3 248 816 574 595 597 891 145 678 150 952 - 19 049 - 55 383 3 462 158 3 942 276

12. General administrative expenses 426 121 402 923 292 139 287 894 340 467 337 893 100 249 101 055 3 963 7 604 1 162 939 1 137 369

13. Others 12 608 126 918 - 2 298 - 6 070 13 143 11 805 24 710 27 386 2 149 8 059 75 463 195 431

14. Earnings before taxes - 1 637 109 519 52 502 54 487 130 867 50 556 123 985 133 372 - 113 526 - 133 299 192 191 214 635

15. Taxes - 22 460 - 19 12 322 13 918 23 371 24 169 26 652 19 844 - 39 289 - 23 026 596 34 886

16. Net profit after taxes 20 823 109 538 40 180 40 569 107 496 26 387 97 333 113 528 - 74 237 - 110 273 191 595 179 749

191,6179,7222,1

67,1

209,5

0

50

100

150

200

250

2007 2008 2009 2010 2011

Financials

Key figures of the W&W Group (1)2011/2010, German market2011/2010, German market

Growth in all segments except for life Profit (€ 191.6 m) exceeds target of € 180 m significantly

despite debt crisis in the market Acquisition of Allianz Dresdner strenghtens sales force;

integration in line Write down of Greek bonds significantly impact financial

result (€ 69,9 m) Positive one-offs in taxes (€ 53 m net profit)

Growth in all segments except for life Profit (€ 191.6 m) exceeds target of € 180 m significantly

despite debt crisis in the market Acquisition of Allianz Dresdner strenghtens sales force;

integration in line Write down of Greek bonds significantly impact financial

result (€ 69,9 m) Positive one-offs in taxes (€ 53 m net profit)

Group net profit in € mGroup net profit in € m

CommentsComments

Home loan savings contracts (B) € 104.3 (vs.103.4) bn Savings (B) € 17.6 (vs.17.7) bn Gross premiums (L/H) € 2.4 (vs. 2.5)

bn Gross premiums (P/C) € 1.38 (vs.1.32)

bn Assets u. Management (Group) € 27.9 (vs. 27.7) bn

Home loan savings contracts (B) € 104.3 (vs.103.4) bn Savings (B) € 17.6 (vs.17.7) bn Gross premiums (L/H) € 2.4 (vs. 2.5)

bn Gross premiums (P/C) € 1.38 (vs.1.32)

bn Assets u. Management (Group) € 27.9 (vs. 27.7) bn

page 17

Czech companiesCzech companies

Due to reduced government premiums on building society contracts, new business declined by 9 %

Significant growth in mortgage business. Market share is 4.6 % (vs. 3.6 %)

Czech life insurance business decreased by 28 % due to market induced lower single premiums

P/C is on previous year level

Financials

Key figures of W&W Group (2)

Improvement of mortgage loan processing

Transformation of life business

Cost efficiency improvements

Value based management of new business


Transformation of life business



5 years‘ view 5 years‘ view

page 18

Management prioritiesManagement priorities

IFRS 2007 2008 2009 2010 2011

Equity bn € 2,5 2,3 2,6 2,8 1 3,0

Total assets bn € 68,1 64,4 69,5 76,0 1 75,4

Mortgages bn € 25,3 24,6 25,4 27,3 27,4

Investments bn € 34,0 31,1 34,4 37,0 36,0

Premiums earned bn € 3,8 3,7 3,8 3,8 3,8

Net asset value per share € 24,54 25,63 28,71 29,47 1 32,18

Earnings per share € 2,32 0,69 2,40 1,79 1 1,94

Exceeded

2012: tba€ 250 m net profit

2011: € 191.6 m€ 180 m net profit

Exceeded due to „W&W 2009 „ efficiency programme2010: € 179.7 m€ 140 m net profit

2008: ROE 2.8 %

ROE 9 %

EvaluationNet profitTarget on previous year basis

Achieved

TargetsTargets

ROE 6,7 %

2009: ROE 9.1 %

Not achieved dueto financial crisis

1 Adjustment of previous year according to IAS 8

109,5112,6

29 20,8

0

20

40

60

80

100

120

2008 2009* 2010 2011

Financials

Key figures banking products and mortgage lending (1)

New business growth based on enhanced multi channel distribution

Increasing new business for the fifth year in a row

New business in mortgages slightly declined due to intensified focus on profitability

Net profit declined notably from € 109.5 to € 20.8 due to Greek bond impairments (€ 64,2 m loss after tax) and enduring period of low interest rates

New business growth based on enhanced multi channel distribution

Increasing new business for the fifth year in a row

New business in mortgages slightly declined due to intensified focus on profitability

Net profit declined notably from € 109.5 to € 20.8 due to Greek bond impairments (€ 64,2 m loss after tax) and enduring period of low interest rates

New business 2011/2010New business 2011/2010

Net profit in € mNet profit in € m

CommentsComments

New home loan savings, gross+ 4.4 % to € 15.3 bn

and net + 3.4 % to € 11.8 bn

New mortgages (B) € 3.9 bn (- 6.2 %)

New home loan savings, gross+ 4.4 % to € 15.3 bn

and net + 3.4 % to € 11.8 bn

New mortgages (B) € 3.9 bn (- 6.2 %)

page 19

* Since 2009, building society and retail banking form one segment „banking products and mortgage lending“. Previous years are not comparable.

Financials

Key figures banking products and mortgage lending (2)


Technical integration Allianz Dresdner Bauspar




Technical integration Allianz Dresdner Bauspar





page 20

TargetsTargets

IFRS 2007 2008 2009 2011 2012

Customer deposits (BSW) bn € 13,7 12,3 14,2 17,8 17,6

Building societies' guarantee fund (BSW) mn € 261,0 261,0 296,0 356,0 356,0

Allocations (BSW) bn € 4,9 5,8 4,6 5,1 5,4

Loans disbursed for building purposes (BSW) bn € 3,2 4,2 4,0 4,9 4,4

New mortgages (WBP) bn € 1,8 1,8 1,2 1,3 1,4

New bonds (Pfandbriefe) (WBP) bn € 1,3 1,6 0,8 0,3 0,6

2012: tbaNet profit 2012 with € 80-100 m significantly above level of 2011

In line with forecast due to impairments on Greek bonds

2011: € 20.8 mNet profit clearly below previous year

In line with forecast2010: € 109.5 mLess net profit due to investments in W&W 2012

Achieved2009: € 112.6 mNet profit will rise

Achieved2008: € 29 mNet profit in home loan saving will clearly increaseStabilisation of net profit in banking expected *


* Since 2009, building society and retail banking form one segment „banking products and mortgage lending“. Previous years are not comparable.

40,6

16,713,418,8

40,2

0

5

10

15

20

25

30

35

40

45

2007 2008 2009 2010 2011

Financials

Key figures life and health insurance (1)

Premium development impacted by significantly reduced single premiums business

Product mix changed in line with value targets (significantly higher unit-linked new business)

Net profit clearly above target and almost on previous

year‘s level despite critical market environment

Greek bond impairments impact business segment with € 5,7 m after tax

Premium development impacted by significantly reduced single premiums business

Product mix changed in line with value targets (significantly higher unit-linked new business)

Net profit clearly above target and almost on previous

year‘s level despite critical market environment

Greek bond impairments impact business segment with € 5,7 m after tax

New business 2011/2010New business 2011/2010


CommentsComments

Total new premiums (L/H) € 734.9 m (- 12.8 %) Single premiums € 549.9 m (- 18.1 %) Regular premiums € 167.5 m (+ 8.3 %)

New business (Health only) € 17.5 m (+ 6.1 %)

APE (L/H) € 240 m (+ 0.8 %)

Total new premiums (L/H) € 734.9 m (- 12.8 %) Single premiums € 549.9 m (- 18.1 %) Regular premiums € 167.5 m (+ 8.3 %)

New business (Health only) € 17.5 m (+ 6.1 %)

APE (L/H) € 240 m (+ 0.8 %)

page 21

Financials

Key figures life and health insurance (2)

Transformation strategy for life business



Transformation strategy for life business




page 22


IFRS 2007 2008 2009 2010 2011

Investments (L) bn € 27,47 26,03 27,19 27,61 27,54

Insurance Liabilities (L) bn € 26,27 25,29 25,85 26,41 26,31

Return on Investments (L) bn € 1,08 0,38 0,92 1,13 0,92

Insurance benefits (L) bn € 3,13 2,20 3,15 3,32 2,79

Administrative expense ratio (L) % 3,1 3,1 3,0 2,7 2,7

Acquisition cost ratio (L) % 6,1 6,1 6,5 6,2 5,5

Gross premiums (L) bn € 2,41 2,34 2,44 2,55 2,41

Gross premiums (H) bn € 0,85 0,97 0,11 0,12 0,13

TargetsTargets

2012: tba Net profit 2012 at 2011-level: € 30 m to € 40 m

2011: € 40.2 m Net profit 2011: € 29 m

Achieved2010: € 40.6 mNet profit above level of 2009

Achieved2009: € 16.7 mHigher net profit vs. previous year

2008: € 13.4 mClear improvement of revenues as to 2007: € 18.8 m


Not achieved dueto decline in financial result

Exceeded

26,4

81,1

16,1

53,9

107,5

0

20

40

60

80

100

120

2007 2008 2009 2010 2011

Financials

Key figures property and casualty insurance (1)

New business and premium development clearly above market. Growth particularly in motor and SME-lines

Significantly higher profit due to improved technical result (combined ratio in local business 92,7 %)

No Greek bonds in portfolio of P&C segment

New business and premium development clearly above market. Growth particularly in motor and SME-lines

Significantly higher profit due to improved technical result (combined ratio in local business 92,7 %)

No Greek bonds in portfolio of P&C segment

Selected data 2011/2010Selected data 2011/2010


CommentsComments

New premiums € 206.7 m (+ 5.7 %)

Total gross premiums € 1.4 bn (+ 4.2 %) Gross premiums

motor segment € 568.2 m (+ 7.2 %) Corporate clients € 293.7 m (+ 5.2 %)

New premiums € 206.7 m (+ 5.7 %)

Total gross premiums € 1.4 bn (+ 4.2 %) Gross premiums

motor segment € 568.2 m (+ 7.2 %) Corporate clients € 293.7 m (+ 5.2 %)

page 23

Financials

Key figures property and casualty insurance (2)

Underwriting disciplin to be continued Multi-channel distribution offers growth

opportunities Cost management

Underwriting disciplin to be continued Multi-channel distribution offers growth

opportunities Cost management

page 24

IFRS 2007 2008 2009 2010 2011

Gross premiums earned bn € 1,47 1,30 1,32 1,32 1,38

Expenses for insurance claims bn € 0,80 0,68 0,75 0,75 0,72

Insurance business expenditure bn € 0,34 0,30 0,32 0,32 0,32

Number of contracts mn € 7,70 7,70 7,78 7,78 7,95

Number of claims coveredin € 000's

541 528 526 546 543

Investments bn € 2,49 2,45 2,35 2,35 2,32

Combined Ratio % 97,3 100,1 90,1 96,2 92,7

Management priorities 2011/2012Management priorities 2011/2012TargetsTargets


Achieved

Achieved

Achieved

Evaluation

2012: Net profit € will be € 80 to 90 m

2011: € 107.5 mNet profit above level of 2010

2010: € 26.4 mLess net profit due to investments in „W&W 2012“ efficiency programme

2009: € 81.8 m

Higher net profit vs. previous year 2008: € 16.1 m

Higher net profit vs. previous year

Net profitTarget on previous year basis

Achieved

2012: tba

Balance sheet 2011/2010Financials

page 25

Assets (IFRS) Liabilities (IFRS)

€000's 31 Dec 2011 31 Dec 2010 31 Dec 2011 31 Dec 2010

A. Cash reserve 165 886 171 737 A. Financial liabilities at fair value through profit or loss 862 526 533 918

B. Non-current assets held for sale and disposal 2 929 95 220 B. Liabilities 37 881 462 39 127 743

C. Financial assets at fair value through profit or loss 2 367 610 2 148 108 C. Negative market value of hedges 574 655 397 337

D. Available for sale financial assets 18 733 691 19 489 246 D. Insurance provisions 29 670 522 29 785 764

E. Receivables 49 422 493 49 305 152 E. Other provisions 2 110 246 2 011 254

F. Allowances for credit losses - 213 141 - 230 372 F. Other liabilities 853 948 853 126

G. Positive market value of hedges 278 707 264 464 G. Subordinated capital 436 966 448 631

H. Investment accounted for using the equity method 212 772 212 990 H. Equity 2 969 004 2 832 090

I. Investment property 1 399 664 1 326 611

J. Reinsurers' share in technical provisions 1 353 007 1 750 438

K. Other assets 1 635 711 1 456 269

TOTAL ASSETS 75 359 329 75 989 863 TOTAL EQUITY AND LIABILITIES 75 359 329 75 989 863

Balance sheet details (W&W Group)

58%

36%

6%

Investments Retail mortgages Others

Assets4%

1%

38%

36%

1%

20%

EquityHybrid capitalInsurance liabilitiesLiabilities to customers (savings)Provison for premium refunds (RfB)Others

Equity and Liabilities

page 26

Financials

Assets are dominated by investments and retail mortgages; Liabilities are dominated by insurance liabilities and liabilities to customers. Over all business segments W&W Group has a comfortable liquidity position.

Solvency ratios

page 27

Financials

Sound capitalization of W&W Group

Available funds according to VAG/KWG

Requirements according to VAG/KWG

Percentage

2012 2011 2012 2011 2012 2011

€mn €mn €mn €mn in % in %

Wüstenrot & Württembergische AG1) 1 763,2 1 732,6 38,4 40,3 4 593,0 4 304,1

Wüstenrot Bausparkasse AG2) 806,8 773,5 8 183,0 7 030,1 9,9 11,0

Wüstenrot Bank AG Pfandbriefbank2) 563,0 543,5 5 563,7 5 700,4 10,1 9,5

Württembergische Versicherung AG1) 325,7 325,6 195,3 190,3 166,8 171,1

Württembergische Lebensversicherung AG1) 1 621,5 1 711,4 1 037,3 998,6 156,3 171,4

Württembergische Krankenversicherung AG1) 17,8 15,8 9,3 8,6 192,7 183,7

1 Requirement of 100,0 %

2 Requirement of 8,0 %

Investments

Investments of the W&W Group as of 31 December 2011 amount to € 43.5 (vs 44.3) bn

page 28

Financials

As a matter of principle, the Group monitors all exposures continuously

5%

44%

33%

3%

14%1%

<1%

<1%

Derivatives, fund-based lifeinsurances

Fixed income securities, shares andinvestments

Other loans

At equity investments

Real estate

Non-current assets held for sale anddiscontinued operations

Municipal loans

Financial Assets reclassified out ofavailable-for-sale-category to theloans and receivables category

Agenda

1. W&W at a glance

2. Financials

Q2/2012 results

Year on year 2011/2010

3. W&W profile

A short history of W&WProfile

page 30

1828 1991 20121921

Established in 1828, Württembergische Privat-Feuer-Versicherungsgesellschaft is the first private property insurance in southern Germany

Established in 1921, Wüstenrot is Germany‘s first

home loan and savings bank

1999 Merger of Wüstenrot and Württembergische into „W&W AG“

2006 Start of fundamental restructuring of the Group and launch of "W&W 2009" modernization programme, followed by "W&W 2012" efficiency programme aiming at net profit of € 250 m in 2012

2010 Acquisition of Allianz Dresdner Bauspar AG

2009 Acquisition of Vereinsbank Victoria Bauspar AG

2005 Acquisition of Karlsruher Versicherungsgruppe

2001 Merger of Wüstenrot and Leonberger Bausparkasse AG

In 1833 Allgemeine Rentenanstalt, the first pension insurance in Germany, was established

1991 Cooperation of Allgemeine Rentenanstalt and WürttFeuer; names change to Württembergische Versicherung AG and Württembergische Lebensversicherung AG

Multi-channel distribution

1) Direct sales, supporting the mobile sales force through mailshots, call centres, online transactions

Profile

MobSF Württ

MobSF Würo

Brokers Banks / coop. partners

Direct1 Other

~ 3,000 ~ 3,000 @

Potential access to 40 million customers

Partnerships and cooperations

Banks

Insurance companies

Financial sales networks

Brokers 5,000 brokers

Cooperations

page 31

Cross Selling potential of W&W

Seite 32

2009

2012

20%

10%

Status quo 2010: More than 17% are customers of both segments (acquired by own salesforce)

Banking products and home financing

InsuranceDivision

Target: 20% are customers of both segments(acquired by own salesforce)

InsuranceDivision

Target: One in five customers owns at least one product of the other business segment

17.7%

Profile

Banking products and home financing

Market sharesProfile

Banking Products and Home Financing

1. Schwäbisch Hall 28.3 %

2. Wüstenrot 13.7 %3. BHW 11.6 %

WüstenrotBausparkasse AG (BSW)

Insurance Division

New home loan savings business (gross) 2011 (private sector)

Wüstenrot Bank 2.9 %Wüstenrot Bank AG Pfandbriefbank (WBP)

New home financing business 2011

1. Allianz 15.0 %

2. AXA 5.3 %

---

9. Württembergische Versicherung 2.3 %

WürttembergischeVersicherung AG

Gross premiums 2010 *

1. Allianz Leben 17.4 %

2. R&V 5.4 %...

12. Württembergische Lebensvers. 2.5 %


Gross premiums 2011

Market share

Market share

* 2011 data will be published by Juli 2012

RatingsProfile

page 34

In addition, Wüstenrot Bausparkasse AG is rated "A", outlook: stableby GBB-Rating Gesellschaft für Bonitätsbeurteilung mbH

Württembergische Lebensversicherung AG

Württembergische Krankenversicherung AG

Wüstenrot Bausparkasse AG

Wüstenrot & Württembergische AG


Wüstenrot Bank AG Pfandbriefbank

Covered Bonds / Pfandbriefe (B)

Hybrid capital bond (P/C)

Hybrid capital bond (L)

Standard & Poor‘s FitchRatings

BBB+outlook positive

BBB+ outlook positive

BBB+ outlook negative

BBB+ outlook positive

Issuer Default Rating

BBB+outlook positive

BBB+outlook negative

AAA

A- outlook positive

BBB+ outlook stable

BBB+ outlook stable

A- outlook positive

BBB+outlook stable

BBBoutlook stable

BBBoutlook stable

Financial Strength Rating

Issuer Credit RatingFinancial Strength Rating

BBB+ outlook stable

A- outlook positive

BBB+ outlook stable

BBB+ outlook stable

Hybrid capital bond : BBB-

Hybrid capital bond: BBB- Hybrid capital bond: BBB-

* Ratings as of 26 July 2012.

Shareholder structure of W&W AG Issued capital of W&W AG is € 481,067,777.39. It is divided into 91,992,622 no-par value shares.

Pro-rata issued capital per share amounts to € 5.23

All W&W shares are registered shares.

Profile

page 35

4,67%

8.79%

7.54%

4.99%

7.91%

66.10%

Wüstenrot Holding LBBWUnicredit LandeskreditbankFree f loat Sw issRe

National International

% of issued capital% of issued capital

Shareholders national/internationalShareholders national/international

6%

94%

97%

3%

Private Institutional

Investor Relations

Wüstenrot & Württembergische AG Gutenbergstraße 30 70176 Stuttgart Investor Relations, Ute Jenschur [email protected] internet: ww-ag.com/go/investor-relations (in German) phone: +49 711 662 724034

page 36

Profile

group accounts q2/2012 and yoy 2011 w&w group – strong q2-figures dr. jan martin wicke, cfo 10...

Documents

forwardlooking information

financial service of

ww groups ability

ww profile slide

cautionary statements

information available

projected results

wstenrot wrttembergische